Acquisition Expected to be Accretive in 2017 to Total Adjusted EBITDA
and EPS
ORLANDO, Fla.--(BUSINESS WIRE)--
Hilton
Grand Vacations Inc. (NYSE: HGV) (“HGV” or “the company”) announces
it has acquired Sunrise Lodge, a Hilton Grand Vacations Club.
Since 2012, the 83-unit, ski-in mountain lodge in Park City, Utah, has
been operating under a fee-for-service agreement through which HGV
provided marketing, sales and resort management services to the seller
Sunrise Park City, LLC and its asset manager Lantern Asset Management.
“In buying Sunrise Lodge, we’re deploying our capital to secure another
owned resort and on-site sales center, lock in a long-term management
contract, realize improved economics on remaining inventory and offer
our customers a consistent branding experience,” says Mark Wang,
president and CEO, Hilton Grand Vacations.
The transaction is anticipated to be funded by existing cash on HGV’s
balance sheet and expected to be accretive to HGV’s total adjusted
EBITDA and EPS.
Sunrise Lodge is located at the base of the Sunrise lift in the Canyons
area of Park City Mountain Resort – the largest ski resort in the U.S.
The property, which is comprised of spacious one-, two-, three, and
four-bedroom suites, is situated minutes from restaurants, shopping,
historic Main Street and Utah Olympic Park.
Amenities include an outdoor year-round heated swimming pool with two
oversized spas, lobby lounge, complementary shuttle service within Park
City, on-site ski equipment rental, ski-in access and exercise
facilities.
Forward-Looking Statements
This document contains forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section 21E
of the Securities Exchange Act of 1934, as amended. These statements
include, but are not limited to, statements related to our expectations
regarding the performance of our business, our financial results, our
liquidity and capital resources and other non-historical statements. You
can identify these forward-looking statements by the use of words such
as “outlook,” “believes,” “expects,” “potential,” “continues,” “may,”
“will,” “should,” “could,” “seeks,” “approximately,” “projects,”
“predicts,” “intends,” “plans,” “estimates,” “anticipates” or the
negative version of these words or other comparable words.
Such forward-looking statements are subject to various risks and
uncertainties, including, among others, risks inherent to the timeshare
industry, macroeconomic factors beyond our control, competition for
timeshare sales, risks related to doing business with third-party
developers, performance of our information technology systems, risks of
doing business outside of the U.S. and our indebtedness. Additional
factors that could cause our results to differ materially from those
described in the forward-looking statements can be found under the
sections entitled “Risk Factors” and “Management’s Discussion and
Analysis of Financial Condition and Results of Operations” in our Annual
Report on Form 10-K for the fiscal year ended Dec. 31, 2016, and our
Quarterly Report on Form 10-Q for the fiscal quarter ended June 30,
2017, filed with the Securities and Exchange Commission (“SEC”), as such
disclosures may be updated from time to time in our periodic filings
with the SEC. These documents are accessible on the SEC’s website at www.sec.gov.
Accordingly, there are or will be important factors that could cause
actual outcomes or results to differ materially from those indicated in
these statements. These disclosures should not be construed as
exhaustive and should be read in conjunction with the other cautionary
statements that are included in this release and in our filings with the
SEC. We undertake no obligation to publicly update or review any
forward-looking statement, whether as a result of new information,
future developments or otherwise, except as required by law.
About Lantern Asset Management
Lantern Asset Management, with headquarters in Dallas, Texas, is a
leading private equity firm focused on managing and investing in middle
market businesses. Lantern endeavors to build long-term value by helping
its portfolio companies solve operational, financial and process issues.
Lantern’s team believes in hands-on investment management and
partnership with leading industry executives. For more information,
visit www.lanternam.com.
About Hilton Grand Vacations Inc.
Hilton Grand Vacations Inc. (NYSE: HGV) is recognized as a leading
global timeshare company. With headquarters in Orlando, Fla., Hilton
Grand Vacations develops, markets and operates a system of brand-name,
high-quality vacation ownership resorts in select vacation destinations.
The company also manages and operates two innovative club membership
programs: Hilton Grand Vacations Club® and The Hilton Club®, providing
exclusive exchange, leisure travel and reservation services for more
than 275,000 Club Members. For more information, visit www.hgv.com
and www.hiltongrandvacations.com.
View source version on businesswire.com: http://www.businesswire.com/news/home/20171017006840/en/
Hilton Grand Vacations Inc.
Investor Contact:
Robert LaFleur,
407-613-3327
RLafleur@hgvc.com
or
Media
Contact:
Erin Pagán, 407-613-3771
EPagan@hgvc.com
Source: Hilton Grand Vacations Inc.